HMRC’s tax evasion taskforces are – quite simply – a resounding success.
In the five years since they launched, the amount they have recovered is up by ONE THOUSAND PER CENT, from £24.3million in 2011/12 to £248million in 2015/16.
HMRC is also moving with the times, increasing its powers of investigation by integrating systems with other parts of government and tapping into Facebook and Twitter. They now have access to the DVLA and Land Registry databases . . . meaning its far more likely that someone living in a terraced house on an apparently modest income who has just bought a Lamborghini is much more likely to come under the spotlight.
We also know the GasSafe register has been used to target those in plumbing and heating.
No-one can stop HMRC inspections – please don’t believe them if they say they can – and with HMRC looking to increase its tax take still further, they recently declared: ‘Regardless of the resources involved, no one is beyond our reach.’
Hudson Contract Managing Director Ian Anfield advises: “HMRC are definitely looking to join up all the dots, and even if you know you are doing everything correctly, if someone in your supply chain is investigated, it could trigger a probe into your affairs as well. So make sure you know who you are dealing with at all times, in order to avoid an HMRC headache.
“If you receive notification of an inspection, call us straight away, so we can answer your questions and make sure you are fully prepared. We’re here to help – it’s all part of the service we offer.”
‘No point looking into Hudson Contract clients. We know who they are.’
Hudson Contract clients are not immune from HMRC’s attention and this year, we have guided several clients through investigations. The good news is that when it came to those engaged through Hudson Contract, there were no issues of any kind.
Those selected for inspection range from companies with fewer than five operatives to those with more than two hundred. In terms of geography, clients in North Yorkshire down to Hampshire and everywhere in between have been selected. In the North of England it seems a lot of civils firms are being investigated, while further south, it’s more of a mixed picture with surfacing contractors, roofers, plumbers and house builders all required to meet with HMRC investigators.
At one meeting, the inspector said there was ‘no point looking into Hudson Contract clients, as we know who they are’, and this has been the general theme throughout.
Ian Anfield adds: “The stages we go through with each client to ensure everyone is on the right type of contract is helping significantly with the outcome of these inspections and the inspector’s understanding of how our clients work. It shows using Hudson Contract reduces the time the review takes, and guarantees the outcome where we provide our contracts.
“If you know of someone who is going through an inspection, or fears their firm may be come under scrutiny, please pass on our details and we will do our best to assist.”